Restrictive covenants in employment agreements can be very useful to companies on the leading edge of technology and business innovation. This document is a general checklist of factors employers should consider with respect to the use of such covenants.
Utah Employee Restrictive Covenants
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An employer shall pay the wages earned by an employee at regular intervals, but in periods no longer than semimonthly on days to be designated in advance by the employer as the regular payday. An employer shall pay for services rendered during a pay period within 10 days after the close of that pay period.
Daily Penalty after Judgment Under the Utah Payment of Wages Act (UPWA), an employee who successfully brings a civil lawsuit for unpaid wages can recover 2.5% of the unpaid wages daily for up to 20 days past the day the court issues an order requiring the employer to pay.
Employees paid on an hourly basis must be paid at least semi-monthly and on days to be designated in advance by the employer as a regular payday. Utah Code § 34-28-3(1)(a). Employees paid on a salary basis may be paid monthly on or before the seventh day of each month. Utah Code § 34-28-3(1)d).
The most common types of post-employment restrictive covenants include non-competition clauses and restrictions prohibiting the solicitation of customers/ clients and employees, each of which are in effect both during the employment relationship and for defined period thereafter (e.g. six months).
Restrictive covenants may contain 4 different types of promises: (1) a promise not to compete with one's former employer; (2) a promise not to solicit or accept business from customers of the former employer; (3) a promise not to recruit or hire away employees of the former employer; and (4) the promise not to use or ...
"Post-employment restrictive covenant," also known as a "covenant not to compete" or "noncompete agreement," means an agreement, written or oral, between an employer and employee under which the employee agrees that the employee, either alone or as an employee of another person, will not compete with the employer in ...
(a) An employer shall pay the wages earned by an employee at regular intervals, but in periods no longer than semimonthly on days to be designated in advance by the employer as the regular payday. (b) An employer shall pay for services rendered during a pay period within 10 days after the close of that pay period.
If an employee does not have a written contract for a definite period and resigns the employee's employment, the wages earned and unpaid together with any deposit held by the employer and properly belonging to the resigned employee for the performance of the employee's employment duties become due and payable on the ...
